Section 136 — Deduction in respect of royalty income, etc., of resident on patents
Old Act equivalent: Section 80RRB of IT Act 1961 Sub-part: Deductions from total income
Statutory Text
- (1) An assessee, being an Indian company, shall be allowed a deduction for the amount contributed by it, other than by way of cash, during a tax year to a political party registered under section 29A of the Representation of the People Act, 1951 (43 of 1951) or an electoral trust. (2) For the purposes of this section, the term “contribute”, with its grammatical variations and cognate expressions shall have the same meaning as assigned to it in section 182 of the Companies Act, 2013 (18 of 2013).
Deduction in respect of contributions given by any person to political parties.
Provisos
None.
Explanations
None.
Tables
Present in statutory text above — see formatted section.
Key Structure
- Applies to: Indian company being a resident in India (patentee)
- Conditions: Income by way of royalty in respect of a patent registered under Patents Act, 1970
- Time limits: Patent must be registered on or after 01-04-2003
- Monetary limits: Maximum Rs.3,00,000 per tax year or income from royalty, whichever is less
- Exceptions: Patent must be developed and registered in India; royalty received from non-residents or from Government
Cross-References
- Section 29
- Section 182
Amendment Notes
None noted from the extracted pages.